Just Facts.com --> Social Security

Unless otherwise stated, all dollar figures are indexed for inflation, wage growth, and other economic parameters to produce numbers that are consistent in terms of the year 2000.

This page contains a list of key facts about Social Security. For more comprehensive details, click here

* In 1935, Congress passed and President Franklin D. Roosevelt signed into law the "Social Security Act." This law created "a system of Federal old-age benefits" for workers and their families. In 1956, the law was amended to also provide disability benefits. [2] [3]

* The Social Security tax rate is 12.4%. For people who are employees, half of this is taken out of their paycheck and half is paid for by their employers. [8]

* The Social Security Act of 1935 set the initial tax rate at 2% and specified increases that would eventually bring the rate to 6%. [20]

* Since 1950, various Congresses and Presidents have passed at least 9 laws to increase Social Security tax rates above the 6% level specified in the original Social Security Act. [23]

* In 1936, the federal government published an informational pamphlet on Social Security. It stated:

* After adjusting for inflation, the result of the calculation in this statement equals a maximum tax collection of $1620 per person. In 2000, the maximum tax collection per person was more than 5 times this amount. [27]

- Note: The following projections are based upon what the current law specifies. This does not mean that there will be enough money in the Social Security program to pay for these benefits. Information concerning the financial stability of the Social Security program is contained in the next section.

* In general, to qualify for old age benefits, a person must work for ten years, earning at least $3,120 a year. [32]

* Old age benefits are calculated based upon a formula that takes into account the average Social Security taxes paid by the worker. [33]

* This formula gives a better ratio of benefits to taxes for people with lower incomes and for those who have not worked as long. [34]

* Old age benefits are generally increased once a year based upon the increased cost of living. [35]

* The age at which a worker receives full Social Security old age benefits is referred to as the "full retirement age." A person's full retirement age can be between 65 and 67 years old, depending upon their year of birth. (More details in footnote.) [36]

* As of 2001, Social Security is paying an average of $10,140/year to individuals receiving old age benefits. [40]

* As of 2001, the federal government defines the poverty level for an individual at $8,590/year. [41]

* As of 2000, 1/3 of Americans have no savings and 1/3 have less than $2,500 in savings. [46]

* In general, to qualify for disability benefits, a person must work for 5 years. [49]

* In general, recipients begin to receive disability benefits after they have been disabled for five full months. [50]

* Disability benefits are calculated based upon a formula that takes into account the average Social Security taxes paid by the worker. [51]

* The formula gives a better ratio of benefits to taxes for people who have lower incomes and for those who have not worked as long. [52]

* The Social Security program has an independent budget that is separate from the rest of the federal government. [60] [61]

* Since 1982, the Social Security program has had surpluses ranging between 89 million and 153 billion dollars per year. [62]

* By law, Social Security surpluses must be loaned to the federal government. The federal government is required by law to pay this money back to the Social Security program with interest. [63] [64]

* According to projections, in 2015, the Social Security program will begin to spend more money than it collects in taxes. At that point, the Social Security program will begin to collect on the money that it has loaned to the federal government. [65]

* According to projections, between 2015 and 2037, the annual shortfalls of the Social Security program will be covered by the money that federal government will pay back to the Social Security program. [66]

- Note: The above fact does not mean that the federal government will have enough money to pay back the Social Security program. Information concerning the ability of the federal government to pay this money back to the Social Security program is contained in the section: Impact on National Debt

* In 2037, it is projected that the money and interest that the federal government owes to the Social Security program will be paid in full. [67]

* Between 2037 and 2075, the Social Security program is projected to run annual deficits totaling 30 trillion dollars. [68]

* This shortfall comes to $154,000 (in year 2001 dollars) for every person projected to be paying Social Security taxes in the year 2075. [69]

* To keep the Social Security program solvent, the tax rate would need to be raised by about 50% or the benefits would need to be cut by about 33%. [70] [71] [72]

* One of the causes for the projected deficits is that the number of people paying taxes compared to the number of people receiving benefits has fallen and is projected to fall further.

* Factors that have contributed to the falling ratio of people paying taxes compared to people receiving benefits:

1) Increase in life expectancy without a comparable increase in the retirement age.

2) The higher birth rate of the baby boom generation compared to the birth rates of succeeding generations.

1) Increase in life expectancy without a comparable increase in the retirement age:

* Since the inception of the Social Security program, the retirement age has not changed. Current law requires that it be moved back 2 years by the year 2025. [74]

* Since Social Security began paying benefits in 1940, the average life expectancy of a 65 year old male has increased by 4 years. This equates to a 34% increase in the amount of time they receive Social Security benefits. [75] [76]

* Since Social Security began paying benefits in 1940, the average life expectancy of a 65 year old female has increased by 5.8 years. This equates to a 43% increase in the amount of time they receive Social Security benefits. [77] [78]

* Benefits and taxes are annually indexed to compensate for inflation and wage growth. The retirement age is not indexed to compensate for increased life expectancy. [79]

2) The higher birth rate of the baby boom generation compared to other generations:

* The baby boom generation was born between the late 1940's and early 1960's. During this time, the average birth rate per woman reached a high of 3.7. [80] [81]

* By 1976, the average birth rate had fallen to 1.7. As of 2000, it is about 2.1. [82]

* Around 2010, the baby boom generation will begin to retire. Between 2010 and 2030, it is projected that the number of people eligible for old age benefits will increase by about 80%. During the same time period, the number of people paying Social Security taxes will increase by about 2%. [83] [84]

* Between 1960 and 2000, the U.S. population grew by 56%. During the same period, the number of people receiving disability benefits increased by 876%. [87]

* The word 'savings' or 'save' does not appear in the Social Security Act of 1935. The word 'benefit' appears 25 times. [91]

* In 1999, 82% of the taxes that workers and employers paid into the Social Security system were spent to pay benefits for current recipients. [92]

* The first person to collect monthly Social Security benefits was a legal secretary by the name of Ida May Fuller. She paid a total of $24.74 in Social Security taxes and received a total of $22,888.92 in Social Security benefits (numbers not adjusted for inflation). Ms. Fuller started paying taxes at the outset of the Social Security program and retired three years later at the age of 65. She lived to be 100 years old. [93]

* No money has been taken from the Social Security program.[94] Social Security surpluses are loaned to the federal government.[95] This is a requirement that was established in the original Social Security Act.[96] The federal government is required by law to pay back this money to the Social Security program with interest, and it has never failed to do so. [97] [98] [99]

* The assets of the Social Security program include all of the money that it has loaned to the federal government.[100] [101] Even when this money is repaid with interest, the Social Security program is projected to become insolvent in 2037, and have an accumulated deficit of 30 trillion dollars by 2075. [102] [103]

* If extra money had not been added into the Social Security program by increasing the tax rate, it would have become insolvent before 1980. [104]

* In 1999, the administrative overhead of the Social Security program was 3.4 billion dollars. This is equal to 0.9% of the benefit payments that Social Security made that year. [105]

* In January of 2000, a bipartisan commission (consisting of 4 people appointed by Congress and 3 people appointed by Bill Clinton) issued a report concerning the Social Security Disability program. The report stated:

* The New York Times published an article outlining the findings of this report. The article mentioned George W. Bush 5 times. Bush had been in office for less than a month. [107]

* The article did not mention Bill Clinton. At the time the report was released, people appointed by Bill Clinton had been running the Social Security Administration for the past 8 years. [108] [109]

* During Bill Clinton's tenure, the administrative costs per disability beneficiary increased by 11%. During Ronald Reagan's and George H. Bush's tenures, the administrative costs per disability beneficiary decreased by 16%. [110]

* As of 2000, there is no law to prohibit felony fugitives from receiving Social Security retirement or disability benefits. The Social Security Administration estimates that it pays between 39 and 179 million dollars per year to felony fugitives. [111]

* In 1999, the Social Security Administration paid $17 million dollars in benefits to 2,091 people who were deceased. [112]

* The Social Security program has an independent budget that is separate from the rest of the federal government. [113] [114]

* When the Social Security program collects more in taxes than it spends, it generates surplus money. By law, the only thing that the Social Security program can do with surplus money is to loan it to the U.S. government. [115] [116]

* When the Social Security program loans money to the U.S. government, the government is obligated by law to pay this money back to the Social Security program with interest. This money becomes a part of the national debt. [117] [118] [119]

1) Money that it owes to federal entities such as the Social Security program and federal employee retirement funds.

2) Money that it owes to non-federal entities such as individuals who have purchased U.S. Savings Bonds. [120]

* As of 2000, the U.S. government owes 1,016 billion dollars to the Social Security program. This comes to $3,600 for every man, woman, and child living in the United States. [135] [136]

* In 2015, the U.S. government is projected to owe 2,879 billion dollars to the Social Security program. This comes to $9,000 (in year 2000 dollars) for every man, woman, and child who will be living in the United States at that time. The interest on this debt is projected to be 181 billion dollars a year. [137]

* The debt that President Bush referred to in this statement excludes the debt that is owed to federal entities such as Social Security. [147]

* The following information was not included in Bush's speech to Congress. It was found on page 201 of his budget proposal:

- The reduction in the debt owed to non-federal entities is offset by an increase in debt owed to federal entities such as Social Security. [148]

- Under Bush's budget proposal, the national debt increases by 1.5 trillion dollars over the next ten years. [149]

* The debt that Al Gore referred to in this statement excludes the debt that is owed to federal entities such as Social Security. [151]

* During the 2000 presidential race, Al Gore and Joe Lieberman released a 192 page economic plan that contained over 150 uses of the word "debt." This document does not acknowledge or account for any of the debt that is owed to federal entities. [152]

* In 1936, the federal government published an informational pamphlet on Social Security. With regards to benefits, it stated:

* Three years later, Congress and President Franklin D. Roosevelt eliminated two benefits from the Social Security program.[167]

* In 1960, the Supreme Court ruled that entitlement to Social Security benefits is not a contractual right. [169]

* Under current law, the money that people pay in Social Security taxes is not saved for them and is not their property. [172]

* Proposals have been made to change a portion of Social Security from a benefit program to a savings program. These savings would be the personal property of each person who chose to participate. In turn, their Social Security old-age benefits would be reduced to correspond with the amount of taxes they paid into the program. [173]

* George W. Bush has proposed that each worker be given the option to place 16% of their Social Security taxes into a personal account. [174] People who choose this option would be able to put their money into bank accounts, government bonds, CDs, or the stock market. There would be investment guidelines to prohibit people from making high risk investments. [175] [176]

* Under the current system, a 22-year-old person who works for the next 45 years earning $30,000/ year will contribute $167,400 to the Social Security program. When he or she turns 67 years old in 2045, all of the money they have contributed will be spent. Any old-age benefits they receive would come from taxes paid by younger workers. [190] [191]

* Under Bush's proposal, if this same person chooses the savings option, 16% of their Social Security taxes will go into a personal account. If this money earns 5% above the rate of inflation, when he or she turns 67 years old in 2045, they will have saved $100,000. [192]

* Over the past 79 years (during a period that included the Great Depression), the average return on the stock market (S&P 500) has averaged 8.14% above the rate of inflation. [193]

* The Republican Party supports giving workers the option to place a portion of their Social Security taxes into a personal account. [177]

* The Democratic Party is opposed to giving workers the option to place a portion of their Social Security taxes into a personal account. [178]

* In 1981, the South American nation of Chile established an optional personal ownership system. Within 2 years, 90% of workers chose to join it. [194]

* The tax rate for the new system is 13%. The tax rate for the government program was 26%. [195] [196]

* The average retirement and disability incomes are higher in the personal ownership system than in the government program. [197]

* The personal ownership system has no deficit. The government program had a long term deficit equal to more than 100% of Chile's Gross Domestic Product. [198]

* The government program pays benefits by taxing people who were currently working. [199]

* The personal ownership system is self funded. Every 3 months, workers receive a statement that informs them how much money they have saved. [200]

* In February of 2001, the New York Times published an article written by Robert Pear. The headline read:

"Study Says Disabled Would Lose Benefits Under New Social Security Plan."

The article stated:

"President Bush has said he wants to let workers put some of their Social Security payroll taxes into personal investment accounts, but at the same time he has championed the rights of people with disabilities."

"The new study, by the General Accounting Office, an investigative arm of Congress, concludes that "even under the best of circumstances, Social Security reform proposals would reduce benefits" for people with disabilities." [201]

* This study did not evaluate Bush's proposal, which contains no mention of changing the disability component of Social Security. [202] [203]

* This study compared the disability benefits produced by several personal ownership proposals to the disability benefits specified by current law. To pay the disability benefits specified by current law, the Social Security tax rate needs to be increased over time by 49%. [204]

* This information appears on page 44 of the congressional study and nowhere in the New York Times article.

* When the study compared the personal ownership proposals to the current Social Security system using the same tax rate for both plans, in the majority of cases, the personal ownership systems produced higher disability benefits than the current Social Security system. [205]

* This information appears on page 34 of the congressional study and nowhere in the New York Times article.

Privacy

* Between 1946 and 1971, Social Security cards had the following words imprinted on them:

"FOR SOCIAL SECURITY PURPOSES -- NOT FOR IDENTIFICATION." [238]

* In 1994, Democrat Congressman Dick Gephardt sponsored a law that passed Congress with 67% of Democrats and 70% of Republicans voting for it. Bill Clinton signed it into law. This legislation contains a section entitled:

"TAXPAYER IDENTIFICATION NUMBERS REQUIRED AT BIRTH." [240]

* This law requires that that parents submit Social Security Numbers for their children with their tax return in order to obtain a tax exemption for their children. (Full text in footnote.) [241]

Footnotes

[1] "The 2000 Annual Report of the Board of Trustees of The Federal Old-Age and Survivors Insurance and Disability Insurance Trust Funds." March 30, 2000. Accessed at http://www.ssa.gov/OACT/TR/TR00/index.html in June of 2001.

Notes:

A) Pages 11, 144

[2] "The Social Security Act of 1935." The Senate and House of Representatives of the United States of America, August 14, 1935. Accessed at http://www.ssa.gov/history/35act.html in May of 2001.

[3] "Charting the Future of Social Security’s Disability Programs: The Need for Fundamental Change." Social Security Advisory Board, January 2001. Accessed at http://www.ssab.gov/disabilitywhitepap.pdf in May of 2001. (This is an Adobe PDF Document.)

Notes:

A) Page 6

[4] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 33

[5] "Social Security Trust Funds: Frequently Asked Questions." Social Security Administration of the United States of America, June 7, 1999. Accessed at http://www.ssa.gov/OACT/ProgData/fundFAQ.html in May of 2001.

[6] "Charting the Future of Social Security’s Disability Programs: The Need for Fundamental Change." Social Security Advisory Board, January 2001. Accessed at http://www.ssab.gov/disabilitywhitepap.pdf in May of 2001. (This is an Adobe PDF Document.)

Notes:

A) Page ii

[7] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Pages 169, 170

[8] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Pages 169, 170

[9] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Pages 169, 170

[10] Examined several different paychecks.

[11] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 5

B) Since 1994, there has been no threshold on Medicare taxes. Page 169.

[12] "The Social Security Act of 1935." The Senate and House of Representatives of the United States of America, August 14, 1935. Accessed at http://www.ssa.gov/history/35act.html in May of 2001.

Notes:

A) Section 811

[13] Kollmann, Geoffrey. "Summary of Major Changes in the Social Security Cash Benefits Program: 1935-1996." Congressional Research Service, Updated December 20, 1996. Accessed at http://www.ssa.gov/history/pdf/crs9436.pdf in May of 2001. (This is an Adobe PDF Document.)

Note: The phrase "at least 6 laws" was used because I found 6 laws in this 30 page document that raised the threshold during this time period. However, other documents indicated law changes that I could not find here. To be on the safe side, I used the lowest possible number in conjunction with the term "at least."

[14] Kollmann, Geoffrey. "Summary of Major Changes in the Social Security Cash Benefits Program: 1935-1996." Congressional Research Service, Updated December 20, 1996. Accessed at http://www.ssa.gov/history/pdf/crs9436.pdf in May of 2001. (This is an Adobe PDF Document.)

Notes:

A) Page 11

[15] Kollmann, Geoffrey. "Summary of Major Changes in the Social Security Cash Benefits Program: 1935-1996." Congressional Research Service, Updated December 20, 1996. Accessed at http://www.ssa.gov/history/pdf/crs9436.pdf in May of 2001. (This is an Adobe PDF Document.)

Notes:

A) Page 14

[16] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Pages 34, 66

[17] Kollmann, Geoffrey. "Summary of Major Changes in the Social Security Cash Benefits Program: 1935-1996." Congressional Research Service, Updated December 20, 1996. Accessed at http://www.ssa.gov/history/pdf/crs9436.pdf in May of 2001. (This is an Adobe PDF Document.)

Notes:

A) Page 14

[18] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 66

[19] Calculations done with data from "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Pages 34, 35, 66

B) 1951 and 1998 are the earliest and latest years for which data was available in the 2000 Trustee's Report.

[20] "The Social Security Act of 1935." The Senate and House of Representatives of the United States of America, August 14, 1935. Accessed at http://www.ssa.gov/history/35act.html in May of 2001.

Notes:

A) Section 801

[21] Kollmann, Geoffrey. "Summary of Major Changes in the Social Security Cash Benefits Program: 1935-1996." Congressional Research Service, Updated December 20, 1996. Accessed at http://www.ssa.gov/history/pdf/crs9436.pdf in May of 2001. (This is an Adobe PDF Document.)

Notes:

A) Page 4

[22] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 34

[23] Kollmann, Geoffrey. "Summary of Major Changes in the Social Security Cash Benefits Program: 1935-1996." Congressional Research Service, Updated December 20, 1996. Accessed at http://www.ssa.gov/history/pdf/crs9436.pdf in May of 2001. (This is an Adobe PDF Document.)

Notes:

A) The phrase "at least 9 laws" was used because we found 9 laws in this 30 page document that raised the tax rate during this time period. However, other documents indicated law changes that we could not find here. To be on the safe side, we used the lowest possible number in conjunction with the term "at least."

[24] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Pages 34, 35

[25] "Securing a Decent Retirement for All Americans." Gore/Lieberman 2000. Accessed at http://www.algore.com/ in October of 2000.

[26] "The 1936 Government Pamphlet on Social Security." The Social Security Administration of the United States of America. Accessed at http://www.ssa.gov/history/ssn/ssb36.html in May of 2001.

[27] Calculations done with data from "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) The calculation specified in the pamphlet yields a result of $180.

B) To adjust for inflation, an average annual CPI of 4.4% was used. This figure comes from Page 151. It applies to the time period 1959-1998. We used it for the time period 1949-2000.

C) In 2000, the wage threshold was $76,200 and the tax rate was 12.4%. This yields a maximum tax collection of $9,448.

[28] Calculations done with data from:

A) "The 2001 Annual Report of the Board of Trustees of The Federal Old-Age and Survivors Insurance and Disability Insurance Trust Funds." March 19, 2001. Accessed at http://www.ssa.gov/OACT/TR/TR01/index.html in May of 2001. Notes: (a) Page 3. Total taxes collected in 2000 = $492.5 billion.

B) "Options to Cut Taxes." Congressional Budget Office, June 2000. Accessed at http://www.cbo.gov/showdoc.cfm?index=2125&sequence=0&from=1 in April of 2001. Notes: (a) Table 1 - Total projected federal tax collections in fiscal year 2000 = 1,945 billion.

[29] 52 weeks/year X 12.4% tax rate = 6.5 weeks per year to pay Social Security taxes.

[30] "A Blueprint for New Beginnings – A Responsible Budget for America's Priorities." Executive Office of the President of the United States, February 28, 2001. Accessed at http://www.whitehouse.gov/news/usbudget/blueprint/budtoc.html in April of 2001.

Notes:

A) Page 45

[31] Smith, Kenneth D., "Disability epidemic." The Washington Times, September 7, 2000. Accessed at http://www.washtimes.com/ in September of 2000.

[32] "Your Social Security Statement." The Social Security Administration of the United States of America, 2000.

Notes:

A) The Social Security administration is required by law to send statements to workers once a year outlining their projected benefits.

[33] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

Notes:

A) The formula takes into account the amount of Social Security taxes that a worker has paid during the 35 years in their career when they made the most income.

[34] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

Notes:

A) The "average annual income" numbers were 1999 figures that were indexed by 2.2% for inflation to make them consistent in terms of the year 2000.

B) In 2000, the wage threshold was $76,200. Any income above this amount was not taxed and is not used to calculate benefits.

[35] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 65

[36] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

Notes:

A) For those born before 1938, the full retirement age to qualify for Social Security benefits is 65 years old.

B) For those born between 1938 and 1959, the full retirement age to qualify for Social Security benefits is defined by the following chart:

Year of Birth	Full Retirement Age
1938	65 and 2 months
1939	65 and 4 months
1940	65 and 6 months
1941	65 and 8 months
1942	65 and 10 months
1943 - 1954	66
1955	66 and 2 months
1956	66 and 4 months
1957	66 and 6 months
1958	66 and 8 months
1959	66 and 10 months

C) For those born after 1959, the full retirement age to qualify for Social Security benefits is 67 years old.

[37] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

Notes:

A) Workers have the option to start receiving retirement benefits at 62 years of age, but the benefit is permanently reduced by about 6.7% for every year they begin receiving benefits before their full retirement age.

[38] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

Notes:

A) Workers have the option to start receiving retirement benefits later than their full retirement age, and the benefits are permanently increased by 6 - 8% for every year they wait to start receiving benefits after their full retirement age.

[39] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

Notes:

A) Family members include a spouse, children under the age of 19, and adult children who are disabled.

B) Each family member may be eligible for benefits equal to 50% of the worker's benefit, but there is a limit on the amount of benefits that a single family can receive.

[40] "Understanding the Benefits." The Social Security Administration of the United States of America, February 2001. Accessed at http://www.ssa.gov/pubs/10024.html in May of 2001.

[41] "Summary Historical Figures and Federal Register References for the HHS Poverty Guidelines since 1982." The United States Department of Health and Human Services, Last updated February 16, 2001. Accessed at http://aspe.hhs.gov/poverty/figures-fed-reg.htm in June of 2001.

[42] "Understanding the Benefits." The Social Security Administration of the United States of America, February 2001. Accessed at http://www.ssa.gov/pubs/10024.html in May of 2001.

[43] "Summary Historical Figures and Federal Register References for the HHS Poverty Guidelines since 1982." The United States Department of Health and Human Services, Last updated February 16, 2001. Accessed at http://aspe.hhs.gov/poverty/figures-fed-reg.htm in June of 2001.

[44] Keating, Raymond J. "Grading the Candidates: Social Security." Small Business Survival Committee, July 27, 2000. Accessed at http://www.sbsc.org/LatestNews_Action.asp?FormMode=EntreEcon&ID=18 in May of 2001.

[45] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

[46] Noyes, Rich. "Networks Give One-Sided View of Social Security Debate." Media Research Center, May 19, 2000. Accessed at http://www.mediaresearch.org/fmp/medianomics/2000/mn20000519.html in May of 2000.

[47] "The House Passes H.R. 4865, The Social Security Benefits Tax Relief Act." Social Security Legislative Bulletin # 106-27, August 4, 2000. Accessed at http://www.ssa.gov/ in April of 2001.

[48] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Pages 110, 168

[49] "Your Social Security Statement." The Social Security Administration of the United States of America, 2000.

Notes:

A) The Social Security administration is required by law to send statements to workers once a year outlining their projected benefits.

[50] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

[51] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

[52] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

[53] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

[54] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

Notes:

A) The "average annual income" numbers were 1999 figures that were indexed by 2.2% for inflation to make them consistent in terms of the year 2000.

B) In 2000, the wage threshold was $76,200. Any income above this amount was not taxed and is not used to calculate benefits.)

[55] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 65

[56] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

Notes:

A) Family members include a spouse, children under the age of 19, and adult children who are disabled.

B) Each family member may be eligible for benefits equal to 50% of the worker's benefit, but there is a limit on the amount of benefits that a single family can receive.

[57] "The 2001 Annual Report of the Board of Trustees of The Federal Old-Age and Survivors Insurance and Disability Insurance Trust Funds." March 19, 2001. Accessed at http://www.ssa.gov/OACT/TR/TR01/index.html in May of 2001.

Notes:

A) Pages 3, 48

[58] Calculations done with data from the "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 51

[59] "Your Social Security Statement." The Social Security Administration of the United States of America, 2000.

[60] "History Myths - Social Security Trust Funds." History Page, Social Security Administration of the United States of America. Accessed at http://www.ssa.gov/history/offbudget.html in March of 2001.

[61] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 33

[62] "Financial data for the Old-Age, Survivors, and Disability Insurance Trust Funds, 1957-2000." Office of the Chief Actuary - Social Security Administration of the United States of America, Updated May 14, 2001. Accessed at http://www.ssa.gov/OACT/STATS/table4a3.html in May of 2001.

[63] "Social Security Trust Funds: Frequently Asked Questions." Social Security Administration of the United States of America, June 7, 1999. Accessed at http://www.ssa.gov/OACT/ProgData/fundFAQ.html in May of 2001.

Notes:

A) This document states: "By law, all income to the trust funds that is not immediately needed to pay expenses is invested, on a daily basis, in securities guaranteed as to both principal and interest by the Federal government."

[64] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 7 of this report states:

The invested assets of the trust funds are backed by the full faith and credit of the U.S. Government, in the same way as other public-debt obligations of the United States.

B) Page 221 of this report states: Funds not withdrawn for current monthly or service benefits, the financial interchange, and administrative expenses are invested in interest-bearing Federal securities, as required by law; the interest earned is also deposited in the trust funds.

[65] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Pages 3, 4

[66] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 4

[67] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Pages 4, 128

[68] Calculations done with data from:

A) “Trust Fund Operations in Current Dollars: Intermediate Assumptions 2001 Trustees Report.” Office of the Chief Actuary – Social Security Administration of the United States of America, February 13, 2001. Notes: (a) The data in this document was unavailable for the 2000 Trustees Report. This document projects that the program will become insolvent in 2038, as opposed to the 2000 Trustees Report that projects insolvency will occur in 2037. We cite the year 2037 to maintain consistency with the rest of the facts we listed. (b) This document projects that the assets of the Social Security program at the end of 2075 will be negative $329 trillion (in year 2075 dollars.)

B) "The 2001 Annual Report of the Board of Trustees of The Federal Old-Age and Survivors Insurance and Disability Insurance Trust Funds." March 19, 2001. Accessed at http://www.ssa.gov/OACT/TR/TR01/index.html in May of 2001. Notes: (a) Page 155 contains data to adjust the deficit into year 2001 dollars.

[69] Calculations done with data from:

A) "2000 Social Security Trustees' Report." Reference footnote [1]. Notes: (a) Page 122 projects there will be 195,274,000 people paying taxes in 2075.

B) Footnote [68]

[70] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 3

[71] Mitchell, Daniel J. "Why Critics Of Social Security Personal Retirement Accounts Are Wrong." The Heritage Foundation, February 4, 2000. Accessed at http://www.heritage.org/library/backgrounder/bg1344.html in October of 2000.

[72] "Social Security This Week." The Cato Institute, April 2, 2001. Accessed at http://www.socialsecurity.org/sstw/sstw04-02-01.pdf in May of 2001. (This is an Adobe PDF document.)

[73] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 122

[74] "Understanding the Benefits." The Social Security Administration of the United States of America, January 2000. Accessed at http://www.ssa.gov/pubs/10024.html in December of 2000.

[75] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 63

[76] "History Page - Brief History." The Social Security Administration of the United States of America. Accessed at http://www.ssa.gov/history/history6.html#idamay in March of 2001.

[77] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 63

[78] "History Page - Brief History." The Social Security Administration of the United States of America. Accessed at http://www.ssa.gov/history/history6.html#idamay in March of 2001.

[79] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Pages 65-71

[80] Ferrara, Peter J. "A Private Option For Social Security." Americans for Tax Reform. Accessed at http://www.atr.org/pressreleases/Issues/i0032.htm in May of 2001.

[81] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 144

[82] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Pages 144-145

[83] Ferrara, Peter J. "A Private Option For Social Security." Americans for Tax Reform. Accessed at http://www.atr.org/pressreleases/Issues/i0032.htm in May of 2001.

[84] Biggs, Andrew G. "The Devil in Gore's Details." The Cato Institute, June 5, 2000. Accessed at http://www.cato.org//dailys/06-05-00.html in May of 2001.

[85] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 164

[86] " Regional Accounts Data." United States Bureau of Economic Analysis. Accessed at http://www.bea.doc.gov/bea/regional/spi/ in May of 2001.

[87] Calculations done with data from footnotes [84] and [85]

[88] Feldstein, Martin. "Let's Really Save Social Security." The Wall Street Journal, February 10, 1998.

[89] "An Analysis of the President's Budgetary proposals for Fiscal Year 1999." The Congressional Budget Office - Section 3 of 7, March 1998. Accessed at http://www.cbo.gov/showdoc.cfm?index=387&sequence=2#t1 in May of 2001.

Notes:

A) Figures are 5 year totals

[90] "An Analysis of the President's Budgetary proposals for Fiscal Year 1999." The Congressional Budget Office - Section 3 of 7, March 1998. Accessed at http://www.cbo.gov/showdoc.cfm?index=387&sequence=2#t1 in May of 2001.

[91] "The Social Security Act of 1935." The Senate and House of Representatives of the United States of America, August 14, 1935. Accessed at http://www.ssa.gov/history/35act.html in May of 2001.

[92] Calculation done with data from the "2000 Social Security Trustees' Report." Reference footnote [1]

Page 6: Payroll taxes = 396.4 billion; Taxation of benefits = 10.9 billion; Benefit payments = 334.4 billion.

Calculation: 334.4 / (396.4 + 10.9) = .821

[93] "History Page - Brief History." The Social Security Administration of the United States of America. Accessed at http://www.ssa.gov/history/history6.html#idamay in March of 2001.

[94] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 37 of this document states: "The Social Security Act does not permit expenditures from the [Social Security] Trust Funds for any purpose not related to the payment of benefits or administrative costs for the [Social Security] program."

[95] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 221 of this document states: "Funds not withdrawn for current monthly or service benefits, the financial interchange, and administrative expenses are invested in interest-bearing Federal securities, as required by law; the interest earned is also deposited in the trust funds."

[96] "The Social Security Act of 1935." The Senate and House of Representatives of the United States of America, August 14, 1935. Accessed at http://www.ssa.gov/history/35act.html in May of 2001.

Notes:

A) Section 201(b) of this document states: "Such investment may be made only in interest-bearing obligations of the United States or in obligations guaranteed as to both principal and interest by the United States."

[97] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 7 of this document states: "The invested assets of the trust funds are backed by the full faith and credit of the U.S. Government, in the same way as other public-debt obligations of the United States."

[98] "Monthly Statement of the Public Debt of the United States." The Bureau of the Public Debt - Treasury of the United States of America, September 30, 2000. Accessed at ftp://208.131.225.4/opd/opdm092000.pdf in October of 2000. (This is an Adobe PDF document.)

Notes:

A) Social Security's assets are contained in the "Federal Disability Insurance Trust Fund" and the "Federal Old-Age and Survivors Insurance Trust Fund." Both of these appear on page 7 in "Table III - Detail of the Public Debt Outstanding."

[99] "Social Security Trust Funds: Frequently Asked Questions." Social Security Administration of the United States of America, June 7, 1999. Accessed at http://www.ssa.gov/OACT/ProgData/fundFAQ.html in May of 2001.

Notes:

A) This document states: "The government has always repaid Social Security, with interest."

[100] The following documents contain an annual accounting of the surpluses and assets of the Social Security program from 1937 to 2000:

A) "Financial data for the Old-Age, Survivors, and Disability Insurance Trust Funds, 1957-2000." Office of the Chief Actuary - Social Security Administration of the United States of America, Updated May 14, 2001. Accessed at http://www.ssa.gov/OACT/STATS/table4a3.html in May of 2001.

B) "Financial data for the Old-Age and Survivors Insurance Trust Fund, 1937-2000." Office of the Chief Actuary - Social Security Administration of the United States of America, Updated March 2, 2001. Accessed at http://www.ssa.gov/OACT/STATS/table4a1.html in May of 2001.

[101] "History Myths - Social Security Trust Funds." History Page, Social Security Administration of the United States of America. Accessed at http://www.ssa.gov/history/offbudget.html in March of 2001.

Notes:

A) This document states: "An important point to notice is that the "unified budget" is an accounting device; its use or nonuse has no effect on the asset value of the Social Security Trust Funds."

[102] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Pages 3-4, 7, 128

[103] Calculations done with data from:

[104] Result of an independent study performed by Just Facts. All data used in the study was obtained from the Social Security Administration of the United States of America.

Notes:

A) If you would like the study e-mailed to you in the form of a Microsoft Works spreadsheet, please contact us.

B) Our actual calculations show that the program would have become insolvent in 1977, but because approximations were used in the study, we added an extra 3 years as a margin of safety.

C) The original Social Security Act of 1935 specified different tax rates that were supposed to become effective at certain points in time. Over the course of time, the law was changed. Between 1940 and 1962, the tax rates were lower than the Social Security Act of 1935 originally specified. Since 1963, the tax rates have been higher than originally specified. This study accounts for both of these situations. If the study reflected only the extra taxes paid by the younger generations, the insolvency date would have occurred years earlier.

D) This study did not account for the extra taxes and expenses that have resulted from the government adding disability benefits to the Social Security program. If these numbers were added into the calculation, the insolvency date would have occurred years earlier.

E) This study did not account for extra taxes that have resulted from the government increasing the wage threshold. If these numbers were added into the calculation, the insolvency date would have occurred years earlier.

[105] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 51

[106] "Charting the Future of Social Security's Disability Programs: The Need for Fundamental Change." Social Security Advisory Board, January 2001. Accessed at http://www.ssab.gov/reports.html in May of 2001.

Notes:

A) Pages 12, 26, 29, 33

[107] Pear, Robert. "Federal Panel Warns Bush of Social Security Problems." The New York Times, February 18, 2001.

[108] Pear, Robert. "Federal Panel Warns Bush of Social Security Problems." The New York Times, February 18, 2001.

[109] "Social Security Reorganization Act of 1993 – HR 623." The United States House of Representatives, 1993. Accessed at http://www.congress.gov/ in February of 2001.

[110] Calculations performed with data from the following sources:

(a) 2000 Social Security Trustees' Report, Page 58. Reference footnote [1]

(b) 2001 Social Security Trustees' Report, Pages 22, 110

(d) 1993 Social Security Trustees' Report, Tables 2.C3, 2.H3

(e) 1983 Social Security Trustees' Report, Pages 29, 31

Notes:

A) Figures account for inflation.

B) Since the fiscal years of the Social Security program run from October 1^st to September 30^th, only the years in which the Presidents held office during the entire Social Security fiscal year were used. Reagan and George H. Bush were in office for 12 years (1981-1993). Ten fiscal years of data were used for this calculation. Clinton was in office for 8 years (1993-2001). Six fiscal years of data were used for this calculation.

[111] Pace, David. "25,000 Fugitives Receiving Social Security Benefits." The Associated Press, December 27, 2000.

[112] Gay, Lance. "Felons hired by Social Security to handle accounts of elderly." Scripps Howard News Service, May 2, 2000.

[113] "History Myths - Social Security Trust Funds." History Page, Social Security Administration of the United States of America. Accessed at http://www.ssa.gov/history/offbudget.html in March of 2001.

[114] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Page 33

[115] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

[116] "Social Security Trust Funds: Frequently Asked Questions." Social Security Administration of the United States of America, June 7, 1999. Accessed at http:/// in May of 2001.

Notes:

[117] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

[118] "Frequently Asked Questions about the Public Debt." The Bureau of the Public Debt - Treasury of the United States of America, Updated August 4, 2000. Accessed at http://www.publicdebt.treas.gov/opd/opdfaq.htm in December of 2000.

Notes:

A) This document states: "Additionally, the Government Trust Funds are required by law to invest accumulated surpluses in Treasury securities. The Treasury securities issued to the public and to the Government Trust Funds then become part of the public debt."

[119] "Monthly Statement of the Public Debt of the United States." The Bureau of the Public Debt - Treasury of the United States of America, September 30, 2000. Accessed at ftp://208.131.225.4/opd/opdm092000.pdf in October of 2000. (This is an Adobe PDF document.)

Notes:

[120] "Frequently Asked Questions about the Debt." The Bureau of the Public Debt - Treasury of the United States of America, Updated March 13, 2001. Accessed at http://www.publicdebt.treas.gov/opd/opdfaq.htm in April of 2001.

Notes:

A) The exception to both these facts is Federal Financing Bank securities. This is limited to 15 billion dollars.

[121] "Frequently Asked Questions about the Debt." The Bureau of the Public Debt - Treasury of the United States of America, Updated March 13, 2001. Accessed at http://www.publicdebt.treas.gov/opd/opdfaq.htm in April of 2001.

Notes:

A) There is considerable confusion regarding the terminology associated with the national debt. Listed below are some frequently used terms categorized by their proper meaning.

(a) Overall national debt – national debt, public debt, gross debt, debt.

(b) Portion of the national debt owed to federal entities – Nonmarketable debt, Intragovernmental holdings, debt held by the government, government held debt.

(c) Portion of the national debt owed to non-federal entities – Marketable debt, debt held by the public, publicly held debt. (We have come across hundreds of instances where politicians and reporters use terms that refer to the overall national debt, when in fact, they are only referring to this portion of the debt.)

[122] "United States Code Title 3, Chapter 31, Section 3123. - Payment of obligations and interest on the public debt." Accessed at http://www4.law.cornell.edu/uscode/31/3123.html in May of 2001.

[123] "Monthly Statement of the Public Debt of the United States." The Bureau of the Public Debt - Treasury of the United States of America, December 31, 2000. Accessed at ftp://208.131.225.4/opd/opds122000.pdf in May of 2001. (This is an Adobe PDF document.)

Notes:

A) The interest rate on debt owed to non-federal entities is 6.665

B) The interest rate on debt owed to federal entities is 6.618

[124] "Monthly Statement of the Public Debt of the United States." The Bureau of the Public Debt - Treasury of the United States of America, December 31, 2000. Accessed at ftp://208.131.225.4/opd/opds122000.pdf in May of 2001. (This is an Adobe PDF document.)

[125] Ferrara, Peter, J. "Al Gore's Social Security Confusion." The Cato Institute, October 26, 2000. Accessed at http://www.cato.org//dailys/10-06-00.html in December of 2000.

[126] Watts, J.C. "GOP Stopped the Social Security Raid in FY 1999, New CBO Report Shows." Web site of Congressman J.C. Watts, October 12, 1999. Accessed at http://www.jcwatts.com/communicationcenter/newsreleases/1999/19991012raidstopped.asp in December of 2000.

[127] "The Coming of the Unified Budget." History Page, The Social Security Administration of the United States of America. Accessed at http://www.ssa.gov/history/offbudget.html in March of 2001.

Notes:

A) This document states: "An important point to notice is that the "unified budget" is an accounting device; its use or nonuse has no effect on the asset value of the Social Security Trust Funds."

[128] "Social Security Trust Funds: Frequently Asked Questions." Social Security Administration of the United States of America, June 7, 1999. Accessed at http://www.ssa.gov/OACT/ProgData/fundFAQ.html in May of 2001.

Notes:

A) This document states: "…the investments held by the trust funds are backed by the full faith and credit of the U. S. Government. The government has always repaid Social Security, with interest."

[129] "Monthly Statement of the Public Debt of the United States." The Bureau of the Public Debt - Treasury of the United States of America, September 30, 2000. Accessed at ftp://208.131.225.4/opd/opdm092000.pdf in October of 2000. (This is an Adobe PDF document.)

Notes:

[130] "The Coming of the Unified Budget." History Page, The Social Security Administration of the United States of America. Accessed at http://www.ssa.gov/history/offbudget.html in March of 2001.

[131] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

[132] "America to Celebrate Tax Freedom Day on May 3, 2000" The Tax Foundation, April 13, 2000. Accessed at http://www.taxfoundation.org/taxfreedomday.html in April of 2001.

Notes:

A) This document lists the different types of federal taxes. Social Security taxes fall under the category of "Social Insurance Taxes"

[133] "HR 1259 - Social Security Lockbox -- Passage." The United States House of Representatives, May 26, 1999. Accessed at http://www.vote-smart.org/ in May of 2000.

[134] "HR 1259 - Social Security Lockbox Cloture Motion." The United States Senate, June 16, 1999. Accessed at http://www.vote-smart.org/ in May of 2000.

[135] "Monthly Statement of the Public Debt of the United States." The Bureau of the Public Debt - Treasury of the United States of America, December 31, 2000. Accessed at ftp://208.131.225.4/opd/opdm122000.pdf in February of 2001. (This is an Adobe PDF document.)

Notes:

B) The actual figure is $1,016,292,000,000.

[136] "Regional Accounts Data – Population." Bureau of Economic Analysis, 2000. Accessed at http://www.bea.doc.gov/bea/regional/spi/ in May of 2000.

Notes:

A) As of 2000, the population in the U.S. is 281,421,906

[137] "2000 Social Security Trustees' Report." Reference footnote [1]

Notes:

A) Pages 3 - 4 , 30, 74, 179

B) In 2015, the Social Security program will begin to collect on the money that it has loaned to the federal government. However, the debt that the federal government owes to the Social Security program will continue to grow through 2024 because the interest on that debt will exceed the payments that the federal government makes to the Social Security program.

C) Page 74 of this report projects an average annual interest rate of 6.3% in 2015.

D) Page 147 of this report projects the population of the U.S. will be 320,149,000 in 2015.

[138] "Cyberalert." The Media Research Center, October 1, 1998. Accessed at http://www.mediaresearch.org/news/cyberalert/1998/cyb19981001.html in May of 2001.

Notes:

A) Bill Clinton referred to the budget as having a surplus.

B) ABC World News Tonight referred to the budget as balanced.

[139] "PBS News Hour." Public Broadcasting Station, February 2, 1998. Accessed at http://www.pbs.org/newshour/bb/budget/jan-june98/budget_2-2a.html in May of 2001.

[140] Moore, Stephen. "Imbalanced Budget Reporting - MediaNomics." The Media Research Center, April 1998. Accessed at http://www.mediaresearch.org/fmp/medianomics/1998/199804ed.html in May of 2001.

Notes:

A) In February of 2000, National Public Radio referred to the budget as balanced.

[141] Pooley Eric. "Breakdown on the Road to History." Time, August 10, 1998. Accessed at http://www.time.com/time/magazine/1998/dom/980810/special_report.breakdown7.html in May of 2001.

[142] Pianin, Eric, Clinton Submits Balanced Budget to Congress. The Washington Post, February 3, 1998. Accessed at http://www.washingtonpost.com/ in May of 2001.

[143] "The Budget and Economic Outlook: Fiscal Years 2002 – 2011, Chapter 1." The Congressional Budget Committee, January 2001. Accessed at http://www.cbo.gov/showdoc.cfm?index=2727&sequence=2 in May of 2001.

Notes:

A) In table 1-2, this document states that the interest on the debt in 2000 was 223 billion dollars.

[144] "Interest Expense on the Debt Outstanding." The Bureau of the Public Debt - Treasury of the United States of America, Updated April 18, 2001. Accessed at http://www.publicdebt.treas.gov/opd/opdint.htm in May of 2001.

Notes:

A) This document states that the interest on the debt in 2000 was 362 billion dollars.

B) The difference between the figures cited by the Bureau of the Public Debt and the Congressional Budget Office is resolved by including the debt owed to federal entities.

[145] "Historical Debt Outstanding – Annual: 1950- 2000." The Bureau of the Public Debt - Treasury of the United States of America, Updated January 1, 2001. Accessed at http://www.publicdebt.treas.gov/opd/opdhisto4.htm in May of 2001.

[146] "Text of Bush's Address to Congress." President George W. Bush, February 28, 2001. Accessed at http://www.newsmax.com/ in March of 2001.

[147] "A Blueprint for New Beginnings – A Responsible Budget for America's Priorities." Executive Office of the President of the United States, February 28, 2001. Accessed at http://www.whitehouse.gov/news/usbudget/blueprint/budtoc.html in April of 2001.

Notes:

A) A footnote on Page 11 of this document states that the 2 trillion dollar figure is "publicly held debt."

B) In this footnote, the numbers cited do not include the debt owed to federal entities.

[148] "A Blueprint for New Beginnings – A Responsible Budget for America's Priorities." Executive Office of the President of the United States, February 28, 2001. Accessed at http://www.whitehouse.gov/news/usbudget/blueprint/budtoc.html in April of 2001.

Notes:

A) Page 201 contains a chart with a section labeled, "Held By." Compare the following two line items:

(a) "Debt securities held as assets by Government accounts." This is the debt owed to federal entities. Between 2001 and 2011, it rises by 3,782 billion dollars.

(b) "Debt held by the public (gross)." – This is the debt owed to non-federal entities. Between 2001 and 2011, it falls by 2,252 billion dollars.

3,782 billion dollar increase in debt owed to federal entities

– 2,252 billion decrease in debt owed to non-federal entities

= 1,530 billion increase to the national debt

[149] "A Blueprint for New Beginnings – A Responsible Budget for America's Priorities." Executive Office of the President of the United States, February 28, 2001. Accessed at http://www.whitehouse.gov/news/usbudget/blueprint/budtoc.html in April of 2001.

Notes:

A) Page 201 contains a chart with a section labeled, "Debt Outstanding, End of Year." Examine the line item, "Total, gross federal debt." This is the national debt. Between 2011 and 2001, it increases by 1,530 billion dollars. Note that this figure matches the result of the calculation in footnote 144.

[150] "Transcript of First Bush-Gore Presidential Debate, Part II." NewsMax.com, October 3, 2000. Accessed at http://www.newsmax.com/articles/?a=2000/10/4/02307 in October of 2000.

[151] "Prosperity For America's Families – The Gore Lieberman Economic Plan." Gore / Lieberman, Inc., September 2000. Accessed at http://www.cnn.com/2000/ALLPOLITICS/stories/09/06/gore.economic.plan/gore_prosperity.pdf in May of 2001.

Notes:

A) Page 10 of this document states: "Al Gore and Joe Lieberman have a plan to keep paying down the debt, making America free of its publicly-held debt by 2012."

[152] "Prosperity For America's Families – The Gore Lieberman Economic Plan." Gore / Lieberman, Inc., September 2000. Accessed at http://www.cnn.com/2000/ALLPOLITICS/stories/09/06/gore.economic.plan/gore_prosperity.pdf in May of 2001.

Notes:

A) This 192 page document was searched cover to cover on 3 separate occasions for any inclusion or acknowledgement of the debt owed to federal entities. In all instances, this debt is excluded.

B) In this document, the phrases "publicly held debt" and "debt held by the public" are used a total of 5 times. On more than 150 other occasions, the document uses terms such as "debt," "public debt," and "national debt," when in fact, it is referring only to the debt owed to non-federal entities.

[153] "Transcript of First Bush-Gore Presidential Debate, Part II." NewsMax.com, October 3, 2000. Accessed at http://www.newsmax.com/articles/?a=2000/10/4/02307 in October of 2000.

[154] "Prosperity For America's Families – The Gore Lieberman Economic Plan." Gore / Lieberman, Inc., September 2000. Accessed at http://www.cnn.com/2000/ALLPOLITICS/stories/09/06/gore.economic.plan/gore_prosperity.pdf in May of 2001.

[155] "Remarks By the President on Debt Reduction." The White House, October 27, 1999. Accessed at http://clinton3.nara.gov/WH/New/html/19991027.html in August of 2001.

[156] "Press Briefing by National Economic Advisor Gene Sperling." The White House, October 23, 1999. Accessed at http://ofcn.org/cyber.serv/teledem/pb/1999/oct/msg00220.html in October of 2000.

[157] "Frequently Asked Questions about the Public Debt." The Bureau of the Public Debt - Treasury of the United States of America, Updated August 4, 2000. Accessed at http://www.publicdebt.treas.gov/opd/opdfaq.htm in December of 2000.

Notes:

[158] "Monthly Statement of the Public Debt of the United States." The Bureau of the Public Debt - Treasury of the United States of America, September 30, 2000. Accessed at ftp://208.131.225.4/opd/opdm092000.pdf in October of 2000. (This is an Adobe PDF document.)

Notes:

[159] "Monthly Statement of the Public Debt of the United States." The Bureau of the Public Debt - Treasury of the United States of America, December 31, 2000. Accessed at ftp://208.131.225.4/opd/opds122000.pdf in May of 2001. (This is an Adobe PDF document.)

Notes:

A) The interest rate on debt owed to non-federal entities is 6.665

B) The interest rate on debt owed to federal entities is 6.618

[160] "Prosperity For America's Families – The Gore Lieberman Economic Plan." Gore / Lieberman, Inc., September 2000. Accessed at http://www.cnn.com/2000/ALLPOLITICS/stories/09/06/gore.economic.plan/gore_prosperity.pdf in May of 2001.

Notes:

A) Page 41

[161] Prosperity For America's Families – The Gore Lieberman Economic Plan." Gore / Lieberman, Inc., September 2000. Accessed at http://www.cnn.com/2000/ALLPOLITICS/stories/09/06/gore.economic.plan/gore_prosperity.pdf in May of 2001.

Notes:

A) Page 185 contains an allocation of the projected surplus for the years 2001 through 2011. It allocates no money to Social Security.

B) Page 40 of this document states that "interest savings" will be devoted to Social Security starting in the year 2011. The document gives no reason for choosing this year. It corresponds to nothing in the document except the date that Gore's plan stops showing "actual resources."

[162] "Long Range OASDI Financial Effects of the President's Proposal for Strengthening Social Security – Information." Letter from Social Security Administration Deputy Chief Actuary Stephen C. Goss to Chief Actuary Harry C. Ballantyne, June 26, 2000.

Notes:

A) The Clinton administration and Gore campaign have cited several actuarial studies of their plans to extend the life of Social Security. Just Facts was unable to find any of these studies on the White House, Gore campaign, or Social Security Administration's web sites. During the Clinton administration, we contacted the Office of the Chief Actuary at the Social Security Administration and were told that they did not have these studies. We eventually obtained a copy of this study from the Senate Budget Committee.

B) This document states: "This proposal would require that transfers be made from the General Fund of the Treasury of the United States to the [Social Security Trust Funds.]"

C) The 9 tri